SOURCE: PCS Edventures!.com, Inc.

August 15, 2007 08:00 ET

PCS Edventures! Provides Update on Saudi Education Initiative

BOISE, ID--(Marketwire - August 15, 2007) - PCS Edventures!.com, Inc. (OTCBB: PCSV) today released an update on the status of the education initiative in Saudi Arabia.

"There has been much speculation over the past 90 days regarding the status of this initiative in Saudi Arabia," stated Tony Maher, Chief Executive Officer of PCS Edventures. "We would like to address our current understanding of the status of the project, at least as it relates to our Company going forward.

"This initiative is by all accounts a massive undertaking in Saudi Arabia. We applaud the King's and the Saudi Ministry of Education's efforts to address the educational needs of all Saudi children with new but proven teaching methods and current technology, and we are honored to be considered as a potential participant in the initiative through PCS Middle East and its principal, Dr. Mohammed Yassir Refai, our independent Distributor.

"For many months Dr. Refai and PCS Middle East have been assuring us, and we have relied upon such assurances, that PCS Middle East is going to be awarded a contract or some appropriate form of formal agreement to provide teacher training, curriculum, and our Company's products to the initiative or the Ministry of Education. In turn, such a project would result in our Company providing products and services to and through PCS Middle East, as our distributor, in return for what we believe would be significant financial consideration to PCS Edventures under agreed-upon prices.

"To date, however, in spite of our continued efforts through Dr. Refai and others to determine when and to what extent such a contract or contracts would be forthcoming, we have been unable to confirm a timeframe or other specifics regarding any such contracts. In late March 2007, we were assured and relied upon Dr. Refai's statements that a contract or contracts were imminent, and consequently, we received a purchase order for the initial site licenses from PCS Middle East to which we responded with an announcement. As we reported a few weeks ago, unfortunately, because whatever form of contract or formal agreement between PCS Middle East and the appropriate Saudi governmental agency has not to our knowledge materialized, apparently been formalized, or announced, that purchase order transaction was not and still has not been funded, in spite of the initial assurances that it was going to be. More recently we asked Dr. Refai to confirm, with some specific documentation, the status of the project and PCS Middle East's involvement, but to date this information also has not been received. There have been, however, several releases in the Saudi press that lead us to believe the project is going forward, and Dr. Refai has continued to assure us that we are part of that project. Dr. Refai has also continued to state to us, as recently as the last few days, that a contract is going to be awarded to PCS Middle East that would in turn trigger our involvement.

"As part of our efforts to prepare for delivery of the services and products required for this initiative, our employees have done a great deal of work, and we have provided the necessary and requested information to PCS Middle East to facilitate our licensee to pursue its and our Company's involvement in the initiative. Fortunately, our efforts will enable PCS Edventures to utilize the same developments in other projects and offerings both in the United States and elsewhere. Further, we firmly believe that, if the Saudi initiative goes forward with the type of products, curriculum, and services we are able to provide, PCS will be involved, and not a substitute or duplicate contractor. We are still hopeful, and continue to receive oral assurances from Dr. Refai, that a contract or contracts will be issued. However, under the circumstances, and given the lack of any material developments so far as we are aware, it is appropriate for us to focus on our core business and other projects, both international and domestic, and we are doing so.

"In short, we currently do not know when our Company will be called upon to participate in the initiative through our independent licensee. We appreciate and remain respectful of the cultural differences and manner of doing business in Saudi Arabia as it may affect our involvement in the project. We are fully prepared to play a significant role in the initiative when it moves forward. Meanwhile, we will continue to seek information from Dr. Refai and others about the status and progress of the project, and if and when material developments occur, we will so inform our shareholders," concluded Maher.

About PCS Edventures!

PCS Edventures! is the recognized leader in the design, development, and delivery of products and services rich in technology, imagination, innovation, and creativity that make learning easier, more engaging, and more effective at all levels. Our product lines range from hands-on learning labs in technology-rich subjects like engineering, science, math, robotics, IT, and electronics. PCS programs operate in over 3,000 sites in all 50 United States as well as in 15 countries Internationally. Additional information is at http://www.edventures.com

Web Site: www.edventures.com

Contact Information

  • Contact Information:
    Financial Contact
    Shannon M. Wilson
    1.800.429.3110 X 101

    Investor Contact
    Anthony A. Maher
    1.800.429.3110 X 102
    Email Contact